Burlington Prices Continue To Surge
The average selling price for a resale home in Burlington in August was $676,055 – up by a jaw-dropping 19.6% versus the $565,046 average price recorded in August 2015. While marginally below the all-time high of $682,258 set in June, prices remain well ahead of 2015 levels. On a year-to-date basis (January thru August), the average price of a Burlington resale home is now up by an eye-popping 15.7% versus the comparable period last year. This represents an increase in home equity of over $88,000 for the average Burlington homeowner over the past twelve months.
Price growth continues to be fueled by incredibly low resale inventory. Active listings at August month-end were 222 units, down by an incredible 48.5% versus the 431 units for sale at month-end last year. Abnormally low inventory spurs aggressive competition among buyers which, in turn, causes upward pressure on prices.
While resale prices continued to soar, resale volume maintained its pattern of weakness in August. The Burlington resale home market recorded just 239 sales in August – down by a sizeable 9.1% versus the 263 homes sold in August 2015. On a year-to-date basis (January thru August), sales volume is now down by a full 10.6% versus last year. The ultra-weak inventory situation mentioned above has definitely affected sales volumes as a growing number of buyers are staying on the sidelines due to inadequate property selection.
While all other key factors (ultralow interest rates, a stable labour market and solid consumer confidence) remain highly positive, a persistent shortage of listings will almost certainly continue to negatively impact sales volumes in the short term. That said, current market conditions highly favour potential sellers from both a price and length of time on the market viewpoint (days on market dipped to just 24 days in August, a full 7 days lower than August 2015).
Related: Monthly Neighbourhood Market Reports
Burlington Transactions - AUG 2016
|Neighbourhood||Total Transactions||Avg Sales Price ($)||Avg Days on Market|